Council will seek feedback before increasing off-site levies to cover the cost that net new development puts on municipal infrastructure.
Town planner Marley Pollock told council on Tuesday (Feb. 10) that the existing rates do not reflect the current costs of providing infrastructure to support the town’s growth.
“Over time, this creates a structural funding gap where infrastructure needed to support net new development is increasingly funded by the existing tax base and existing businesses through general taxation,” he said.
Under the proposed bylaw, residential developments would go from $1.93 per square foot to $4,286.36 per dwelling unit. The commercial rate ($2.57 per sq. ft.) and industrial rate ($1.27 per sq. ft.) would be combined into a single non-residential development rate of $5.53 per sq. ft.
Pollock assured that off-site levies would not apply to those rebuilding their pre-existing properties from the 2024 wildfire.
Coun. Ralph Melnyk noted that a federally funded incentive program can provide Jasper residents with $30,000 for building a net new accessory dwelling unit, which would more than cover the cost of the levy.
“There is an opportunity for funding to offset that,” Melnyk said.
The incentive program does not apply to businesses. Paul Butler, executive director of the Jasper Park Chamber of Commerce, warned in an interview with the CBC that the proposed bylaw could end up penalizing businesses trying to build staff accommodation.
While council is expected to give first reading to the bylaw next week, a public hearing will take place on March 17 before any further decisions are made.
Tax policy engagement
Residents will soon be able to provide their input on what Jasper’s tax policy should look like.
Committee of the whole directed administration to undertake the engagement process and return to a future meeting with its findings.
“There’s often a lot of discussion about who pays for what and what the tax burden is of different classes of taxpayers within communities,” said CAO Bill Given. “Jasper’s no different.”
Jasper’s current property tax ratio is 5:1 between non-residential and residential. It was previously higher before the Alberta government imposed a ratio cap on municipalities. The Jasper Park Chamber of Commerce and commercial property owners have for years pushed council to reduce the ratio.
Following a workshop last August, the past council directed administration to develop a tax policy and return to a meeting following the 2025 municipal election.
Given said engagement would focus on the tax ratio as well as the share of municipal expenditures funded through taxation, whether other communities are useful comparators, improving tax equity between co-ops and market-rate equivalents, taxing private home accommodations and how to phase in any changes to the tax policy.
The first phase of engagement will focus on education and setting principles, and the second will use this input to create policy alternatives for stakeholders to consider. Results from both phases will be used to create a draft policy for council’s consideration.
Peter Shokeir, Local Journalism Initiative // info@thejasperlocal.com
